Investment Rating - The report maintains a "Buy" rating for the company, with a target price of 12.25 CNY [5][18]. Core Views - The company achieved a revenue of 790 million CNY in Q1 2025, showing a year-on-year growth of 4%. However, the net profit attributable to the parent company slightly decreased by 1% to 40 million CNY [1]. - For the year 2024, the company is projected to have a revenue of 3 billion CNY, a decrease of 5% year-on-year, with a net profit of 160 million CNY, down 24% [1]. - The company is expanding its domestic and international customer base, focusing on maintaining relationships with major clients in North America while seeking new partnerships [2]. - The successful launch of the Vietnam factory is expected to enhance the company's production capacity and flexibility in responding to overseas market demands [3]. - The company is actively developing its "Shufude" brand in the domestic market, with plans to open over 111 new stores by 2024 [2]. Financial Summary - The company’s revenue for 2025 is estimated at 3.3 billion CNY, with a projected net profit of 200 million CNY, reflecting a growth rate of 28.26% [11]. - The earnings per share (EPS) for 2025 is expected to be 0.56 CNY, with a price-to-earnings (P/E) ratio of 22.46x [4][11]. - The company’s gross margin for 2024 is projected to be 34.85%, with a net profit margin of 5.28% [13].

Investment Rating - The investment rating for the company is "Accumulate" with a target price of 12.25 CNY [5] Core Views - The company has successfully launched its factory in Vietnam, enhancing its production capacity and flexibility in responding to overseas market demands [3] - The company is focusing on expanding its customer base both domestically and internationally, particularly in the North American and European markets [2] - The financial outlook has been adjusted, with expected net profits for 2025-2027 projected at 200 million, 230 million, and 280 million CNY respectively [4] Financial Performance Summary - In Q1 2025, the company achieved revenue of 790 million CNY, a year-on-year increase of 4%, while the net profit slightly decreased by 1% to 40 million CNY [1] - For the year 2024, the company is expected to generate revenue of 3 billion CNY, a decrease of 5% year-on-year, with a net profit of 160 million CNY, down 24% [1] - The gross profit margin for furniture manufacturing in 2024 was 35.7%, a decrease of 1.2 percentage points year-on-year [1] Product and Market Breakdown - In 2024, the revenue from smart electric beds was 2.4 billion CNY, accounting for 84% of total revenue, while mattress revenue was 220 million CNY, down 7% [1] - The company’s domestic revenue in 2024 was 180 million CNY, a decline of 18%, while overseas revenue was 2.7 billion CNY, down 3% [1] - The company is actively expanding its "Shufude" brand in the domestic market, with plans to open over 111 new stores in 2024 [2]